Music lovers will soon have a new place to turn to listen to their favorite tunes, online and off. YouTube’s Music Key service is officially in beta with a full release to the general public anticipated soon.
Music Key is the Google Inc. online video giant’s first real foray into the territory currently dominated by such giants as iTunes and Amazon.
YouTube’s new service will operate on a paid monthly subscription basis with fees starting around $7.99 for ad-free service.
Subscribers will find the new Music Key service is tuned to work with the YouTube app, enabling a variety of options for listening to songs and watching videos. The app will enable music to play while other apps or running or even with the screen off.
In addition, the app will enable subscribers to listen to their tunes when they’re offline.
Although still in beta testing, the new YouTube music option has amassed quite a collection of content for eventual subscribers.
The service offers “millions of official videos, album tracks, concert clips, covers and remixes,” according to its official website.
Taking Greater Control of Content
Music Key’s beta launch comes on the heels of YouTube’s move late last year to cut down on the number of sponsored videos that appear in the No. 1 online video site’s collection.
The company recently amended its ad policies to prevent “graphical title cards” that promote products and brands via YouTube’s channels. In order for these title cards to appear in content, sponsors now have to pay Google to advertise on a particular channel.
The move was prompted for two reasons, according to YouTube. First, it is hoped to prevent advertiser conflicts. Secondly, the aim is to prevent viewers from being overloaded by ads.
Some industry experts, however, have a different take on YouTube’s new policy.
Paul Kontonis, the Global Online Video Association’s executive director, told Digiday the move essentially shuts down YouTube stars and multichannel networks from cutting their own sponsorship deals without giving Google a piece of the pie.
Thriving in the Face of Competition
Music Key isn’t the only addition to YouTube designed to help the video site remain on top in the face of mounting competition.
The company also recently launched its Google Preferred program that enables video makers to use ads that can no longer be skipped. The end result is higher earnings for content providers who are seeing their revenue grow at a 70% annual rate versus the 50% rate seen by YouTube partners on the whole.
YouTube’s content chief is also reporting that the video service is witnessing accelerated growth in spite of rising competition from such players as Facebook and Amazon.
Competition, however, is something YouTube’s Robert Kyncl said there’s room for.
“We expected a deceleration of the business and it is actually accelerating,” re/code quoted him as saying.
A definitive date for Music Key’s public launch has not yet been announced.
